How to reflect interest in accounting

In the ordinary course of business, any company faces from time to time with violations of the law or the terms of contracts with counterparties. The result is the imposition of fines and penalties, which, depending on the reasons for its formation reflect different ways in accounting.

Instruction

Receive a notification from the tax authorities or contractors, the accrual of fines or penalties as a result of breach of contract, the terms of payment of taxes and other obligations. You have the right to challenge this decision in court, if they consider it illegal. Otherwise, proceed to the reflection of this transaction in the accounting records of the company.

Reflects the calculations for penalties and fines on taxes or assessed as a result of acts of checks against the account 68 "Settlements on taxes and duties". The law does not establish a clear procedure for opening transactions in the accounting records regarding violations of the tax legislation.

On the basis of PP.2 of article 270 of the Tax Code these amounts do not relate to the calculation of taxable profit and is not given to the difference between the accounting and tax report. Based on this open on the debit of account 99 of "Profit and loss" and account 68 credit subaccount to reflect the interest and penalties on tax payments with the appropriate name.

Conduct calculation according to the established penalties for late payment of insurance contributions to extra-budgetary funds opening debit the sub-account 99 and loan account 69 "Calculations on social insurance and maintenance".

Consider in the accounting of fines and penalties charged in case of non-compliance with cash discipline. Reflect this administrative responsibility of the enterprise to the opening debit the sub-account 99 and the credit of account 76 "Calculations with different debtors and creditors".

Make accounting the resulting penalty as a result of breach of contract with the same counterparty recognised on the basis of article 330 of the Civil Code of the Russian Federation. According to the Tax Code of the Russian Federation failure to comply with the obligations under the contract the guilty party spends the accrued interest in the composition nerealizovannyi costs at the date of recognition of such a penalty. Contractual sanctions in the accounting records reflect the opening debit on subaccount 91-2 "miscellaneous costs" and the loan subaccount 76-2 "Accounts under claims".

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